How Does Keepkey Work?
If you are a crypto enthusiast, you’ll know how important it is to consider security when choosing a crypto wallet. KeepKey is one such crypto hardware wallet that can be trusted easily considering its security features like hierarchical deterministic (HD), backup options and PIN features, and its privacy and anonymity specifications.
This hardware wallet is launched by ShapeShift, a Swiss crypto exchange. In this article, we’ll answer the questions- how does KeepKey work, where to buy KeepKey, and most importantly, how you can easily set up the wallet.
Connecting Your KeepKey Wallet To ZenLedger For Your Crypto Tax Forms
- To import your KeepKey Wallet transactions into ZenLedger for your crypto tax forms, all we need is your public wallet address.
- Paste your wallet address into the KeepKey Wallet address field in ZenLedger.
- Select the proper coin from the dropdown list.
- Select if the wallet is based in the USA or not.
- Then hit add a coin.
How Does KeepKey Work?
Now coming to the main question, how does KeepKey work? We’ve broken down the entire process into three simple steps:
KeepKey being a hardware wallet only requires a Chrome extension to work. You can download the Chrome extension in Windows, MacOS, and Linux. Follow the instructions below to download the extension to MacOS.
- First, download the KeepKey wallet extension. You can do this from the Chrome web store.
- You can use a USB cable to connect your device to your computer.
- Now look for the KeepKey app on your computer and run it.
- Wallet Setup
A guided setup on the extension will demonstrate how to set up your KeepKey wallet. First, you’ll be asked if you want to create a new wallet or recover your old wallet. Here are the steps to create and set up a new wallet:
- The first step is to set a name for your KeepKeys wallet, that’ll allow you to distinguish yourself among other KeepKeys wallets. For this, click on “Set Label” and save your name.
- Now for the first of the two important security steps- the PIN. Enter a PIN using the Chrome extension and then re-enter it to confirm. The best thing about the PIN is that the pattern of the numbers 1 to 9 keeps changing. This makes it impossible for any malware to detect the PIN.
- The final step in setting up your KeepKey wallet is to create a backup phrase, which is perhaps the most important one. A 12-word passphrase will appear on the display of your wallet.
It is recommended that you never keep a digital copy of your passphrase. Instead, you should write it down and keep it safe. This is the only way to restore your wallet in case of loss or theft. It must be noted that whoever has your passphrase can access your wallet.
- Receiving & Sending Crypto
Now that you have set up your KeepKey wallet, you can easily receive and send crypto using your wallet.
- Tap on ‘Receive’ from the account you want to receive crypto in.
- Then choose the asset you want to receive from the list of options provided on the screen. Click ‘Next’.
- A new address will be generated. You can view the address on your wallet as well as on the software.
- You can now copy this address by clicking on the clipboard icon and then send it to the sender from whom you’ll claim the payment.
- Tap on ‘Send’ at the top of the page.
- Then choose the asset you want to send from the list of options provided on the screen. Click ‘Next’.
- Enter the amount in fiat or crypto that you want to send and tap on ‘Continue’.
- Next, confirm the address of your recipient and the amount that you’ll send. Then click ‘Send Asset’.
- For verification, type out your PIN and click Submit.
- Follow the steps on your KeepKey to sign the transaction.
Is A KeepKey Wallet Safe To Use?
The primary security features of the KeepKey wallet are stated below:
The KeepKey wallet blocks unauthorized access to your wallet by using a protected PIN. Another layer of security is added by the fact that the numbers on the PIN are randomly arranged every time the device connects. The device locks automatically after the third fail attempt, and the waiting time of the PIN increases exponentially from 8 seconds.
Encrypted By Passphrase
Passphrase encryption can be activated at startup and will require you to enter your PIN every time you launch the application. It must be noted that the password must be added via the computer keyboard, as it cannot be done using the hardware wallet.
You can import a backup with a 12-word passphrase as well as with the 18 or 24-word passphrase.
The Bottom Line: Why Choose A KeepKey Wallet?
KeepKey is easy to use and secure wallet that has the following features:
- Hierarchical Deterministic (HD)
- PIN protected and additional PIN (optional) at startup
- Open-source wallet
- User-friendly software
- Multi-platform support (Chrome extension in Windows, MacOS, and Linux)
- Private keys stored offline
All of this makes KeepKey a good choice for your crypto funds.
ZenLedger easily calculates your crypto taxes and also finds opportunities for you to save money and trade smarter. Get started for free now or learn more about our tax professional prepared plans!